Exports hit $600 million in 2017
The Trade, Tourism and Investment Office of Peru has stated that exports from Peru to the UAE have risen by almost 10,000% in since 2011.
In a showing of vast growth in trade between the UAE and Peru, exports from the South American country have gone from US$6 million in 2011 to $600 million in 2017.
DP World are amongst the big-name UAE companies that have invested large, multi-million-dollar figures into Peru’s shipping, logistics and energy sectors.
Amongst the most popular items imported from Peru by the UAE include avocados, quinoa, and asparagus, as well as gold and high-quality craft products.
Despite the boom in trade, there is still no direct air cargo service between the two countries.
Alvaro Silva-Santisteban, Director of the Trade, Tourism and Investment Office of Peru (TTIOP) said: “Our greatest challenge is connectivity. It takes around 42 days to ship goods from Peru to the UAE, so produce is often shipped to a port in Europe and from there flown to Dubai.
“A connecting flight between Dubai and Lima would certainly help.
“Using a European hub means additional cost and thus a product that is more expensive, so your Peruvian avocado or mango is going to cost more.
“It also means tourists face issues in getting to Peru, especially UAE residents who prefer to fly direct with the country’s major airlines.”
The TTIOP was set up in Dubai in 2011 with the aim of encouraging not only companies in the Emirates to import products from Peru, but to also help businesses in the South American country to see the UAE as a lucrative market.
“The leap in exports from Peru to the UAE has been huge,” says Silva-Santisteban, adding: “The relationship between the two countries has grown in importance over the years to an extent that at the end of last year Peru became the second largest investment destination for Emirati companies in South America, and amongst the three biggest trading partners for the UAE in Latin America.
“Once every 15 days we have a delegation of UAE businesses visiting Peru, or companies from Peru travelling to the UAE.
“The UAE has become an important market for Peruvian companies. Businesses in both countries are seeing the benefits of trading here and in meeting UAE consumers’ demand for Peruvian products and services.
“The aim now is to turn these steppingstones into pillars as we position Dubai as a platform for the region.”
Read more: Moody’s Upgrades DP World Rating